Hensoldt Ag · XETR:HAG

Hensoldt — 9M 2023 Earnings Presentation

33 slides from Hensoldt's earnings presentation, Nov 9, 2023

  1. Slide 1: 9M 2023 Results – Analyst & Investor Presentation

    HENSOLDT 9M 2023 Results – Analyst & Investor Presentation Taufkirchen, 9th of November 2023 Thomas Müller, CEO Christian Ladurner, CFO This document and its content is the property of HENSOLDT AG. It shall not be communicated to any third party without the owner’s written consent. © Copyright HENSO

  2. Slide 2: Disclaimer Forward Looking Statement

    HENSOLDT – 9M 2023 Disclaimer Forward Looking Statement This presentation and the information contained herein are for information purposes only and should not be treated as This presentation may contain forward-looking statements about HENSOLDT and its businesses, including statements investment ad

  3. Slide 3: Business Update

    HENSOLDT – 9M 2023 Business Update This document and its content is the property of HENSOLDT AG. It shall not be communicated to any third party without the owner’s written consent. © Copyright HENSOLDT AG 2023. All rights reserved.

  4. Slide 4: Increasing conflicts and tensions lead to a global poly-crisis

    HENSOLDT – 9M 2023 Increasing conflicts and tensions lead to a global poly-crisis Threat Environment Implications • Significant uptick of threat • Clear shift in global security environment in Europe perception towards through Russian war increasing ‘world-disorder’ Ethnic conflicts War In Ukraine a

  5. Slide 5: HENSOLDT strongly positioned for the future of warfare

    HENSOLDT – 9M 2023 HENSOLDT strongly positioned for the future of warfare Focused capability Platform independence Innovation driver European pure-play €91m self-funded sensor solutions 100% pure-play Leading supplier for R&D cash spend(1) leader with state-of- defence electronics platform agnostic

  6. Slide 6: Electronics content & network connectivity on platforms continues to increase

    HENSOLDT – 9M 2023 Electronics content & network connectivity on platforms continues to increase Previous generation Current generation Future generation Leopard 2A4 ca. 25% Leopard 2A7+ ca. 45% ca. 55% Tornado ca. 25% Eurofighter ca. 40% ca. 45% F122 class ca. 20% F125 class ca. 35% ca. 40% Electro

  7. Slide 7: German program landscape solidifies – HENSOLDT well positioned

    HENSOLDT – 9M 2023 German program landscape solidifies – HENSOLDT well positioned Service Programs 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 EF Mk1 + Rebaselining Rebaselining To 2035 -> Twinvis To 2025 -> STH1 2030+ -> F-351 (TOR Replacement) To 2030 -> ISS Eurofighter EK To 2030 -> Ai

  8. Slide 8: Near term order intake from German customer

    HENSOLDT – 9M 2023 Near term order intake from German customer NNbS EF MK1 re-baselining FCAS R&D PUMA retrofit Radars for short and very Additional features R&D for national capabilities Sights for PUMA tank short range required by customer ~ €55m ~ €25m air defence system​ ~ €100m ~ €240m 8 This d

  9. Slide 9: Near term international order intake

    HENSOLDT – 9M 2023 Near term international order intake Baltic states India South Korea Taiwan Indonesia TRML-4D radars for Obstacle avoidance system Self-protection TRS-4D TRS-4D European Sky Shield Initiative for utility helicopters for light armed helicopters for Light Frigate for Offshore Patrol

  10. Slide 10: PEGASUS Critical Design Review passed!

    HENSOLDT – 9M 2023 PEGASUS Critical Design Review passed! Goals achieved by the successfully passed CDR Tangible scope of CDR • In-depth presentation 1,000+ Customer requirements of the PEGASUS solution design 60+ Design presentations • Comprehensive assessment of quality and suitability of the desi

  11. Slide 11: Financials

    HENSOLDT – 9M 2023 Financials This document and its content is the property of HENSOLDT AG. It shall not be communicated to any third party without the owner’s written consent. © Copyright HENSOLDT AG 2023. All rights reserved.

  12. Slide 12: 9M 2023 – continuous strong performance in top line

    HENSOLDT – 9M 2023 9M 2023 – continuous strong performance in top line in €m Order intake in line with expectations in 9M Significant increase of core revenue Robust order backlog Core Pass-through 1,100 1,136 129 224 1,377 1,281 +15% 5,372 5,472 1,007 876 9M 2022 9M 2023 9M 2022 9M 2023 9M 2022 9M

  13. Slide 13: 9M 2023 – bottom line follows excellent top line development

    HENSOLDT – 9M 2023 9M 2023 – bottom line follows excellent top line development in €m Further increase of profitability Investment in working capital as planned Core margin excluding Reported margin pass-through revenue 9M 2022 9M 2023 151 -49 15.0% 94 -126 126 76 13.3% 9.4% 14.4% 8.6% 8.3% 11.5% 6.

  14. Slide 14: 9M 2023 – Sensors segment

    HENSOLDT – 9M 2023 9M 2023 – Sensors segment in €m Order intake in line with expectations Significant increase of core revenue Excellent margin performance Core margin excluding Reported margin pass-through revenue Core Pass-through 919 952 129 155 224 18.8% 1,198 105 16.3% +18% 964 823 695 15.1% 11

  15. Slide 15: 9M 2023 – Optronics segment

    HENSOLDT – 9M 2023 9M 2023 – Optronics segment in €m Strong momentum in order intake Sustainable growth of revenue Investments in digitalization and growth 9M 2022 9M 2023 322 184 188 185 21 9M 2022 9M 2023 9M 2022 9M 2023 (4) Order intake(1) Revenue Adj. EBITDA(2) Main order intake drivers are PUMA

  16. Slide 16: Short and medium term guidance confirmed

    HENSOLDT – 9M 2023 Short and medium term guidance confirmed 2023 target(5) Medium term target(5) Orders to grow significantly faster than Book-to-bill ratio(1) / Order intake 1.1x - 1.2x revenue ~ €1,850m Revenue growth with stronger growth 10% in core revenue average annual growth Adjusted EBITDA m

  17. Slide 17: Strong 9M performance lays the basis for a successful year 2023

    HENSOLDT – 9M 2023 Strong 9M performance lays the basis for a successful year 2023 Achievements ▪ High order backlog of €5.5bn provides excellent revenue visibility ▪ Efficient project execution and significant increase of core revenue ▪ Excellent profitability and high cash visibility ▪ Prepared fo

  18. Slide 18: Q&A session

    HENSOLDT – 9M 2023 HENSOLDT Q&A session This document and its content is the property of HENSOLDT AG. It shall not be communicated to any third party without the owner’s written consent. © Copyright HENSOLDT AG 2023. All rights reserved.

  19. Slide 19: Financial Section

    HENSOLDT – 9M 2023 HENSOLDT Financial Section This document and its content is the property of HENSOLDT AG. It shall not be communicated to any third party without the owner’s written consent. © Copyright HENSOLDT AG 2023. All rights reserved.

  20. Slide 20: Consolidated Income Statement

    HENSOLDT – 9M 2023 results Consolidated Income Statement First nine months in € million 2023 2022 Revenue 1,136 1,100 Cost of sales -916 -896 Gross profit 220 205 Selling and distribution expenses -83 -80 General administrative expenses -76 -66 Research and development costs -20 -25 Other operating

  21. Slide 21: Consolidated Statement of Financial Position – Assets

    HENSOLDT – 9M 2023 results Consolidated Statement of Financial Position – Assets As at in € million 9M 2023 YE 2022 Non-current assets 1,395 1,335 Goodwill 658 658 Intangible assets 376 384 Property, plant and equipment 129 121 Right-of-use assets 181 140 Investments and other financial assets (1) 3

  22. Slide 22: Consolidated Statement of Financial Position – Equity & Liabilities

    HENSOLDT – 9M 2023 results Consolidated Statement of Financial Position – Equity & Liabilities As at in € million 9M 2023 YE 2022 Share capital 105 105 Capital reserve and other reserves 568 554 Retained earnings -95 -55 Equity held by shareholders of HENSOLDT AG 579 604 Non-controlling interests 13

  23. Slide 23: Consolidated Statement of Cash Flow (1/2)

    HENSOLDT – 9M 2023 results Consolidated Statement of Cash Flow (1/2) First nine months in € million 2023 2022 Group result -5 -1 Depreciation, amortisation and impairments of non-current assets 86 78 Financial expenses (net) 25 23 Change in Provisions -2 4 Inventories -176 -122 Contract balances -13

  24. Slide 24: Consolidated Statement of Cash Flow (2/2)

    HENSOLDT – 9M 2023 results Consolidated Statement of Cash Flow (2/2) First nine months in € million 2023 2022 Cash flows from operating activities -113 -15 Cash flows from investing activities -76 -70 Proceeds/repayment of financial liabilities(1) 108 -22 Payment of lease liabilities -14 -14 Dividen

  25. Slide 25: Reconciliation of order intake, segment revenue and adjusted EBITDA to group figures

    HENSOLDT – 9M 2023 results Reconciliation of order intake, segment revenue and adjusted EBITDA to group figures First nine months in € million 2023 2022 Order intake 1,281 1,377 Sensors 964 1,198 Optronics 322 185 Elimination/Transversal/Others -6 -6 in € million Revenue 1,136 1,100 Sensors Optronic

  26. Slide 26: Overview of EBITDA and EBIT adjustments

    HENSOLDT – 9M 2023 results Overview of EBITDA and EBIT adjustments EBITDA adjustments First nine months EBIT adjustments First nine months in € million 2023 2022 in € million 2023 2022 EBIT 49 35 EBIT 49 35 (+) Depreciation 34 33 (+) Effect on earnings from purchase price allocations 29 27 (+) Amort

  27. Slide 27: Reconciliation of reported to adjusted pre-tax unlevered FCF

    HENSOLDT – 9M 2023 results Reconciliation of reported to adjusted pre-tax unlevered FCF First nine months in € million 2023 2022 Cash flows from operating activities -113 -15 Cash flows from investing activities -76 -70 Free cash flow -189 -85 (+) Transaction costs – 0 (+) OneSAPnow-related non-recu

  28. Slide 28: Q3 Financial Overview HENSOLDT Group

    HENSOLDT – 9M 2023 results Q3 Financial Overview HENSOLDT Group Third quarter in € million 2023 2022 Order intake 210 428 Book-to-bill ratio(1) 0.5x 1.0x Revenue 410 418 Adjusted EBIT(2) 49 49 Adjusted EBITDA(3) 69 65 Adjusted EBITDA margin 16.9 % 15.7 % Adjusted pre-tax unlevered free cash flow(4)

  29. Slide 29: Reconciliation of reported to adjusted net income

    HENSOLDT – 9M 2023 results Reconciliation of reported to adjusted net income First nine months in € million 2023 2022 Group result -5 -1 (+) Effect on earnings from purchase price allocations 29 27 (+) Transaction costs – 0 (+) OneSAPnow-related non-recurring effects 5 – (+) Other non-recurring effe

  30. Slide 30: Back-up

    HENSOLDT – 9M 2023 HENSOLDT Back-up This document and its content is the property of HENSOLDT AG. It shall not be communicated to any third party without the owner’s written consent. © Copyright HENSOLDT AG 2023. All rights reserved.

  31. Slide 31: IR events

    HENSOLDT AG – 9M 2023 results IR events* FY 2022 FY 2022 Q1 2023 AGM H1 2023 9M 2023 CMD preliminary audited Feb 23rd Mar 22nd May 9th May 12th Jul 28th Nov 9th Nov 22nd 2023 2023 2023 2023 2023 2023 2023 * Dates might be subjected to changes 31 This document and its content is the property of HENSO

  32. Slide 32: IR Contacts

    HENSOLDT AG – 9M 2023 results IR Contacts Contact HENSOLDT share Reports ▪ Contact: ▪ Type of share: ▪ Financial Reports: Veronika Endres Bearer shares https://investors.hensoldt.net Tim Schmid ▪ Stock Exchange: ▪ Annual Report: ▪ Phone: Frankfurt Stock Exchange https://annualreport.hensoldt.net +49

  33. Slide 33: This document and its content is the property of HENSOLDT AG. It shall not

    This document and its content is the property of HENSOLDT AG. It shall not be communicated to any third party without the owner’s written consent. © Copyright HENSOLDT AG 2023. All rights reserved.

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